The Paris Stock Exchange fell 0.82% on Friday, ending its second week of decline of the year, blocked by high interest rates and geopolitical uncertainties.
The star CAC 40 index lost 58.63 points to 7,129.73 points. The day before, he had progressed by 0.96%, his only progress session of the week.
In five days, he lost 1.44%, his worst week since mid-December.
“The market needs to breathe and is looking for something to consolidate” following having “bounced back since the beginning of October on expectations of disinflation, which is starting to be a reality”, comments David Kruk, head of trading at La Financière de l’Echiquier.
On the bond market, the rate of the French 10-year loan, which is a benchmark, rose to 2.80%, close to its highest level since January 3, following a series of speeches by American central bankers and Europeans this week.
They insisted on repeating that the fight once morest inflation was not over and that rate hikes were still necessary.
The geopolitical situation may also have prompted some investors to be cautious following the announcement that a cruise missile flew over Moldova, which decided to summon the Russian ambassador.
From now on, according to David Kruk, “the question is to know what will be the traction relays of the markets, to know what new information will make it possible to go up further”.
Corporate results reported so far have been rather mixed, with some expressing a gloomy outlook for 2023 and concerns regarding US consumption.
L’Oréal still records
Despite the health crisis in China and inflation, cosmetics giant L’Oréal announced new record results for 2022 on Thursday and said it was “confident” for this year, as the Chinese market reopens. “Quantity is good, but quality?” wonder RBC analysts, cautious regarding the title. The action fell slightly by 0.83% to 375.60 euros.
Aperam fond
The stainless steel producer Aperam fell 7.40% to 33.66 euros, the worst variation of the broader SBF 120 index, following the publication of its annual results, which highlighted the drop of a third of its benefit. “Destocking and recession fears hurt demand, while cost inflation and valuation effects weighed on results. We believe we have bottomed out in the cyclical wave,” said Timoteo group boss say Maulo.
The defense sought
Renewed geopolitical concerns and the good results of the Swedish arms and aeronautics group Saab boosted the values of the defense sector.
Thales jumped 2.52% to 122 euros and Dassault Aviation 1.11% to 155.30 euros.
Today’s winners and losers
The TotalEnergies share finished at the top of the CAC 40 with a rise of 2.59% to 59.35 euros, galvanized by the jump in oil prices.
Conversely Worldline lost 5.03% to 40.24 euros, despite the good results presented by the American group of electronic payments Paypal.
Orpea jumped 50% to 3.66 euros on Friday and has taken more than 30% since the start of the week. The variations of the action are erratic since the announcement at the beginning of February of the arrival in the capital of the Caisse des dépôts (CDC) and of a reorganization of the debt of the group.
Euronext CAC40
